What to Expect from Avanir Pharmaceuticals

Seth Jayson, The Motley Fool
Updated

Avanir Pharmaceuticals (NAS: AVNR) is expected to report Q3 earnings around Aug. 3. Here's what Wall Street wants to see:

The 10-second takeaway
Comparing the upcoming quarter to the prior-year quarter, average analyst estimates predict Avanir Pharmaceuticals' revenues will grow 321.2% and EPS will remain in the red.

The average estimate for revenue is $10.5 million. On the bottom line, the average EPS estimate is -$0.11.


Revenue details
Last quarter, Avanir Pharmaceuticals recorded revenue of $10.0 million. GAAP reported sales were much higher than the prior-year quarter's $1.4 million.

Source: S&P Capital IQ. Quarterly periods. Dollar amounts in millions. Non-GAAP figures may vary to maintain comparability with estimates.

EPS details
Last quarter, EPS came in at -$0.13. GAAP EPS were -$0.13 for Q2 compared to -$0.12 per share for the prior-year quarter.

Source: S&P Capital IQ. Quarterly periods. Non-GAAP figures may vary to maintain comparability with estimates.

Recent performance
For the preceding quarter, gross margin was 94.7%, 270 basis points better than the prior-year quarter. Operating margin was -169.8%, 83,790 basis points better than the prior-year quarter. Net margin was -169.7%, 83,730 basis points better than the prior-year quarter.

Looking ahead
The full year's average estimate for revenue is $40.9 million. The average EPS estimate is -$0.44.

Investor sentiment
The stock has a two-star rating (out of five) at Motley Fool CAPS, with 191 members out of 254 rating the stock outperform, and 63 members rating it underperform. Among 56 CAPS All-Star picks (recommendations by the highest-ranked CAPS members), 35 give Avanir Pharmaceuticals a green thumbs-up, and 21 give it a red thumbs-down.

Of Wall Street recommendations tracked by S&P Capital IQ, the average opinion on Avanir Pharmaceuticals is outperform, with an average price target of $5.40.

The article What to Expect from Avanir Pharmaceuticals originally appeared on Fool.com.

Seth Jayson had no position in any company mentioned here at the time of publication. You can view his stock holdings here. He is co-advisor ofMotley Fool Hidden Gems, which provides new small-cap ideas every month, backed by a real-money portfolio. The Motley Fool has no positions in the stocks mentioned above. Try any of our Foolish newsletter services free for 30 days. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy.

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